5. PRODUCTION OBJECTIVES :
a) Reduce frequency of lost time injuries from 21 to 6 million man hours within 6 months of installation of new safety awareness program.
b) Maintain overtime hours at the level of 5 percent of scheduled hours while completing emergency work program A.
c) Reduce cost of pump and engine repairs from $10,000 to $5,000 per year per mechanic.
d) Maintain a once-a-day contact with all subordinates at their work stations and hold a once-a-month work appraisal meeting in office with all subordinates.
e) Complete construction of 5,000 sq. ft. 2-story approved addition to existing plan within cost of $45,000 by spring of next year.
f) Master ten techniques in work simplification as related to machine shop operations through a 6-month by monthly cost reduction meeting for machines shop supervisors.
g) Reduce clerical labour costs in 3 departments by $50,000 with the installation of a data-processing system whose leasing and operational costs are not to exceed 50% of the projected savings.
h) Reduce weld rejects of Hy-80 steels from 6% to 3% of all plates in assembly S.
i) Maintain total heat losses at 5% of total heat transferred when changing from system A to system B.
j) Deliver 16 units per day for less than $45.00 unit cost to shipping point B.
k)Reduce inventory lead time from 3 weeks to 2 weeks while maintaining customer services.
l) Reduce obsolete items and all adjustments to inventory to 6% of commercial sales dollars.
m)Complete master schedule of sales and inventories for fiscal year 19xx to reduce stock –out frequency rate to 2½.
n) Complete by next year a vendor rating system to maintain price, delivery, and reliability at or below an index established for the past 5-year record.
o) Achieve for the machine shop a process layout by 19xx to reduce material-handling costs to 22% of manufactured costs.